News
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August Brazil Truck Production Below 2024
Brazilian truck production declined in August 2025, with factories manufacturing 10,096 units, down 16.3% from July (12,058 units) and down 22.9% compared to August 2024 (13,101 units). Over the first eight months of 2025, accumulated production was 88,525 trucks, slightly lower by 1% compared to the same period in 2024 (89,401 vehicles).
Domestic truck sales also fell sharply: 8,900 trucks were licensed in August, 15.9% fewer than July, and 22.6% fewer than August 2024. High interest rates are being cited as a main cause, especially affecting heavy trucks, which account for nearly half the truck market and saw a production drop exceeding 19%.
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São Paulo Adopts Biomethane in Bus Fleet
On Sept. 2, 2025, the biggest city in Americas with biggest bus fleet, started on the path to use of biomethane as fuel in the city’s public transport fleet and garbage collection vehicles. The initiative sets rules for fuel acquisition and introduces the gradual adoption of biomethane-powered vehicles. City officials emphasize that biomethane offers lower operating and acquisition costs compared to electric buses and avoids the need for large-scale charging infrastructure.
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Sharing of EV Battery Data Supported by METI

Akihiro Komuro The Ministry of Economy, Trade and Industry says it will support the development of an industry-wide system for sharing information on the degradation status of EV batteries. Toyota and Honda will provide battery-related data to used car dealers, insurance companies and others. The aim is to prevent the export of used EVs overseas and enable the domestic utilization of batteries containing critical minerals.
Currently, battery degradation is difficult to assess, resulting in low trade-in prices for used EVs in the domestic market. The fact that approximately 80% were exported overseas was a cause for concern.
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Proton Builds First EV Plant in Malaysia
Proton, Malaysia’s national car brand, opened its first EV factory in the state of Perak. The factory has an annual production capacity of 20,000 units, which can be expanded to 45,000.
Construction of the factory costs a total of 82 million ringgit (approximately $19.47M). Proton receives technical support from its major shareholder, Zhejiang Geely Holding Group of China. Previously, Proton imported EVs produced at Geely’s factory in Hangzhou, Zhejiang Province, China.
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New GST Is Game Changer for Autos, Tractors

Aditya Kondejkar The September 2025 GST Council meeting introduced sweeping tax revisions that significantly lower GST rates across multiple vehicle and farm equipment categories. Tractors and their components now attract a 5% rate (from 12% for standard tractors, and from 18% for parts), while small cars, two-wheelers (up to 350cc), three-wheelers, buses, and certain commercial vehicles are enjoying reduced GST from 28% to 18%.
These changes are expected to improve affordability, stimulate demand (especially in rural and semi-urban areas), boost manufacturing and ancillary industries, and lead to job growth across the value chain.
Source: The Times of India. Read The Link
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Dongfeng Plans To Sell 50% Stake in Honda Engine

Jack Hao Dongfeng Motor Group reportedly plans to sell its 50% stake in Dongfeng Honda Engine Co., Ltd. Joint venture with Honda Motor Co., according to an Aug. 18post on the official website of Guangdong United Property and Equity Exchange. The project is in the pre-listing phase, with no reserve price set, and the deadline is Sept. 12.
According to the audited figures in the listing documents, Dongfeng Honda Engine was valued at RMB 5.4 billion (approximately USD 752 million) in 2024. The company posted a net loss of RMB 227.8 million for the same period, carries liabilities of RMB 3.3 billion.
According to the official website of Dongfeng Honda Engine Co., Ltd., the company was established in 1998. Its shareholders are Dongfeng Motor Corporation, Honda Motor Co., Ltd., and Honda Motor (China) Investment Co., Ltd., holding 50%, 40%, and 10% of the shares respectively.
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GST Reform Is Big Opportunity for OEMs

Aditya Kondejkar India is preparing for one of its biggest tax reforms in recent years, targeting the Goods and Services Tax (GST) structure. If approved, the proposal will slash GST on small cars and two-wheelers from 28% to 18% and reduce GST on insurance premiums to between 5% and zero. The change, expected around Diwali, has the potential to reshape production planning and sales strategies for automobile manufacturers.
Source: Reuters. Read The Article
Impact on Small Cars and Two-Wheelers. Small cars and two-wheelers have traditionally been the backbone of India’s automobile industry, serving middle-class buyers who are highly price sensitive. However, in recent years, growth in these categories has slowed as buyers shifted toward SUVs, which now account for nearly half of passenger vehicle sales. By lowering taxes, the government aims to make small cars and two-wheelers more affordable, correcting the imbalance in demand and giving OEMs in these categories a much-needed boost.
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Alternative Power Report, August 2025
In the AUGUST 2025 issue of the Alternative Power Report produced by Power Systems Research, you’ll find articles on cost-saving electric tractors, how Toyota, BMW, and Hyundai are moving against hydrogen power, a report on BP backing out of green hydrogen plan in Australia, a report on Tesla sales continuing to drop in Europe, and how Fortescue plans to cancel its flagship hydrogen projects. PSR
Guy Youngs is Forecast and Technology Adoption Lead…
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Vietnam Shifts To EV Motorcycles

Akihiro Komuro Vietnam, a country known for its large number of motorcycles, is experiencing controversy over its electric vehicle policy. The policy bans gasoline-powered motorcycles in certain areas of Hanoi, the capital, and has caused a stir. Honda, which holds an 80% share of the local motorcycle market, must rethink its strategy because most of its models run on gasoline. This sudden policy change could also disrupt daily life for residents.
In July, the Vietnamese government outlined bold measures to regulate gasoline-powered motorcycles in “Prime Ministerial Directive No. 20.” Starting in July 2026, operating gasoline-powered motorcycles within the Inner Ring Road in Hanoi will be banned. The Inner Ring Road spans over seven kilometers and includes the city center, home to government offices, the Japanese embassy, and the historic Old Quarter, a popular tourist destination.
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South Korea, US Agree on 15% Tariffs
The South Korean government has reached an agreement with the United States regarding tariff negotiations. Mutual and automobile tariffs will be reduced to 15%, which is the same rate as those of Japan and the European Union (EU).
According to the Korea Trade and Investment Promotion Agency (KOTRA), automobiles are South Korea’s leading export to the United States. Exports to the United States account for over 50% of South Korea’s total automobile exports. The South Korean government prioritized reducing automobile tariffs and engaged in negotiations with the United States.
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